الرئيسية / news / Transportation minister inks $235M contracts with PRL

Transportation minister inks $235M contracts with PRL

فريق رجال الأعمال news 10 April 2025 12:10 PM
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Transportation minister inks $235M contracts with PRL

Engineer Kamel El-Wazir, Deputy Prime Minister and Minister of Industry and Transportation, and Herro Mustafa Garg, the United States Ambassador to Egypt, witnessed the signing of 3 contracts in the railway sector between the Egyptian National Railways (ENR) and the American company Progress Rail (PRL).

The contracts included the modernization of 100 Henschel locomotives, the supply of spare parts for 141 locomotives for a period of 15 years, and technical support for 10 years.

The contracts were signed on behalf of the ENR by Engineer Mohamed Amer, Chairman of the Railway Authority, and by Jack Zhang, Vice President of the Board of Directors of PRL.

The Minister stated that this contract aligns with the Ministry's plan to bolster the existing fleet of railway locomotives. This initiative will increase the frequency of trips across the network, enhance service quality, and address the growing demands of railway users, keeping pace with the escalating need for a transportation sector that fuels development. He further noted that strengthening the railway traction system will also increase the volume of goods transported by rail, alleviating road congestion and boosting the railway's financial resources, ultimately improving the service provided.

He indicated that the modernization contract for 100 Henschel locomotives entails comprehensive upgrades, including the installation of entirely new components such as the engine, the advanced "EM2000" control system, the high-voltage electrical cabinet, the air compressor, the low-pressure cabinet, the air brake system, and the cooling system. Additionally, the remaining key components of the locomotives will undergo overhauls using new spare parts.

He further stated that this modernization will yield significant operational savings for the locomotives, reducing oil consumption by roughly 50% thanks to the latest engine technologies. Fuel consumption will also decrease by over 3% compared to current engine technology, leading to improved carbon emissions. Moreover, modernizing these locomotives will enhance the availability and reliability of the Egyptian National Railways' fleet by improving locomotive uptime, ensuring spare parts availability, and reducing warehouse stock. This is due to replacing obsolete parts with those that are still in production and increasing the commonality of components with the authority's EMD (JT42CWRM) locomotive fleet.

El-Wazir also emphasized that this contract aims to boost the local industry. The overhaul of reusable components (traction motors, main generators, spark plugs, etc.) will be conducted within the Egyptian Company for Maintenance and Railway Services (ERMAS), owned by the Egyptian National Railways, enabling the use of local parts and facilitating knowledge transfer through PRL's supervision.

For her part, the US Ambassador stated, "I am pleased to be here to witness the signing of three contracts worth more than $235 million to modernize and maintain locomotives. I congratulate the American company Progress Rail and Egyptian National Railways on reaching this agreement. The United States is proud to possess advanced technologies and innovations that contribute and will continue to bring shared prosperity to both countries."